Simplifying exports

For many companies, particularly in the aerospace, defence, and automotive sectors, product classification for controlled or dual-use items is a nuisance with great risks: export control compliance depends on the correct classification of goods and materials, and any mistakes are propagated across all downstream processes. To support exporters in obtaining the right classification for their merchandise and purchased parts from suppliers in the most efficient way, software provider AEB has launched Product Classification Exchange.

Classifying products is an onerous and time-consuming task that requires a high level of expertise. For companies managing controlled goods or dual-use items, this also includes determining if goods are subject to export controls, whether they require an export license, and whether they can even be exported at all. In many cases, businesses also need to consider US export control law due to its extra-territorial reach. Non-compliance with export control regulations is not an option – financial and criminal penalties are serious and collateral damages include more than just impacts on the brand image.

Transactions requiring classification are first transmitted from the company’s host systems to Product Classification Exchange. If a valid classification from the past 12 months is already available, it is reported back to the host system. If not, the user can prompt the supplier to submit a declaration for the products in question on the Product Classification Exchange supplier portal. All the suppliers need is a current web browser. Product Classification Exchange can be integrated into any ERP system through a web service interface. It also supports the upload of offline forms such as Excel spreadsheets.